People and Culture

Material Topics

Valuing human capital: (GRI disclosure: 404-1, 404-2, 404-3)

Actions and recognition programs to value the performance of human capital (employees) in the company.

Employee well-being, health and safety: (GRI disclosure: 403-1, 403-2, 403-3, 403-4, 403-5, 403-6, 403-8, 403-9, 403-10)

Guarantee employees work with decent, safe and healthy conditions.

Diversity, inclusion, and equality: (GRI disclosure: 405-1, 405-2, 406-1, 2-7, 2-8)

Development of an environment conducive to diversity, inclusion and belonging for the full range of identities and individual choices.

Extra Topic: (GRI disclosure: 2-30)

Required GRI Disclosure

GRI 2-7 Employees

GRI 3-3 Valuing our human capital

Bracell realizes its employees are a key strategic asset for the positive direction and sustainability of the business. The Company has a team made up of professionals who are qualified for current and future challenges. Valuing, empowering, and engaging people are fundamental principles for delivering the best results across all our operations.

The Company respects and supports the Universal Declaration of Human Rights and strives to provide a safe, healthy, and productive work environment for all employees. Specifically, Bracell:

• respects diversity and will not tolerate any form of discrimination or abuse;
• respects freedom of association in all its business units;
• fulfills all requirements for employee hiring, prioritizing qualified local workers;
• uses practices that comply with the International Labor Organization’s Declaration on the fundamental labor rights and principles (read more about this under GRI 2-30, GRI 403, GRI 404, GRI 405, and GRI 406);
• provides a safe, clean, and properly equipped workplace for all employees;
• invests in behavioral training and occupational safety;
• does not tolerate child or slave labor; and
• strives to increase employee awareness of business sustainability.

Bracell has a horizontal corporate culture, meaning that employees and leaders are encouraged to share knowledge and exchange instructions and recommendations to complement training and exercises performed during the year.
Bracell’s workplace practices and training, along with the daily exchanges between teams, reinforce its main priorities regarding the business, operations, and activities. Our “Complementary Teams” and “Ownership” values are embedded in our employees’ daily routines addressing strategic planning and priority social and environmental issues.

Corporate education
The Bracell training program includes all the legally required trainings and much more. The goal is to promote employee development of skills and competences so they may contribute to their own professional development and remained aligned with the goals and challenges of each area. The role-based training matrix for all departments comprises Bracell’s Integrated Management System (IMS).
The Company provides classroom-based and online training. Training is encouraged, recommended, and requested by area managers, as per the Bracell training policies (read more under GRI 404).

We closed 2022 with 6,297 direct employees – 1,778 in Bahia, 4,127 in São Paulo and 392 in Mato Grosso do Sul.

Note: Bracell employees data for 2020 and 2021 were updated. We have identified a redundancy on employees counting regarding to Bracell leadership. The redundancy has occurred due to Bracell employees classification which differs from GRI protocol employees classification scope.

* Bracell had no part-time employees in 2021. In previous years, only those in Young Apprentice Program were part-time. The Company only began operating in the state of Mato Grosso do Sul in 2022.

GRI 2-8 Workers who are not employees

GRI 2-30 Collective agreements

In Bahia, all employees up to management level, including managers, are covered by collective agreements. Levels above this are not therefore covered by collective bargaining agreements.

In São Paulo and Mato Grosso do Sul, all employees up to coordination level are covered by collective agreements. Employees above are not covered by collective bargaining agreements.

GRI 3-3 (403) Employee health, safety and well-being

Bracell works to ensure the physical and mental health and safety of its employees and contractors. For this, it manages and controls occupational risk to prevent incidents and accidents.

All Company employees have Health and Safety teams, who are responsible for planning, managing, and implementing all procedures and actions related to this topic.

Bracell programs and activities aim to introduce employees and contractors to best practices and guidelines in Occupational Health and Safety (read more under GRI 403).

GRI 403-1 Occupational health and safety management system

Bracell has an Integrated Occupational Health and Safety Management System and follows the Occupational Safety and Medicine Regulatory Standards required by Brazilian legislation. The professionals in charge of this management system are our own employees, members of the Specialized Occupational Health and Safety Service (SESMT).

The Occupational Health and Safety management system:

• details work locations and activities;
• covers all workers, whether employees or contractors;
• has guidelines which are governed by Regulatory Standard 9, which analyzes and controls occupational exposure, and Regulatory Standard 1, reviewed and signed in January 2022, determining that a RMP or Risk Management Program (PGR in Portuguese) be drawn up to analyze and control occupational exposure;
• has guidelines which are covered by Regulatory Standard 7, which determines the implementation of an Occupational Health and Medical Control Program (PCMSO) at all companies to promote and preserve employee health, while Regulatory Standard 31 governs a Risk Management Program for Rural Jobs, covering all forestry activities;
• in addition to these Occupational Health and Safety Regulatory Standards, the system implemented the Risk Management Program (RMP)/Rural Occupational Risk Management Program (RORMP), and the Occupational Health Medical Control Program (PCMSO) to comply with Brazilian labor law, as per Ministry of Labor ordinance 3,214/78;
• these programs gave rise to procedures that describe and detail the standards that apply to all activities performed by company employees. Our Integrated Policy sets this standard for contractors, and complies with the Integrated Management System (IMS) and ISO 9001, ISO 14001 and Cerflor standards.

In late 2021 we started to adjust Bracell procedures in Bahia to the updated NR 01 RMP – Risk Management Program. We created the Health Coordination Group with responsibilities previously under the Safety Coordination umbrella. This area is responsible for industrial and forestry operations, with occupational nurses in each unit.

Seeking continuous improvement and to ensure preventive work at Bracell, the number of Occupational Safety employees was increased, with a Senior Forestry Occupational Safety Management team in São Paulo, and a dedicated Forestry Occupational Safety Coordination team to serve the forestry operations in Mato Grosso do Sul. A Forestry Occupational Safety Coordination area was created in Bahia, covering the nursery, forestry, harvesting, automobile maintenance, and logistics activities, including people transport, loading, road maintenance, and timber and pulp transportation.

Safety teams were reinforced and restructured to support Senior Management in São Paulo, and coordination areas were created in Mato Grosso do Sul and Bahia. In Bahia, the team was also reinforced with an occupational health coordinator, a position previously held by workplace safety coordination. This coordinator handles both forestry and industrial operations, with an occupational nurse at each location.

Internal safety procedures were reviewed to continuously improve indicators and compliance with safety laws. Another highlight in São Paulo was the creation of a service logbook for forestry contractors to meet the legal requirements. This logbook is used to monitor compliance with Regulatory Standards and other laws that apply to such operations. In the industrial area, the Contractor Manual was updated, requiring that service providers create logbooks to demonstrate compliance with regulations.

GRI 403-2 Hazard identification, risk assessment, and incident investigation

The company has a Health and Safety management system developed and implemented by the Specialized Occupational Medicine and Safety Engineering Area (SESMT). SESMT professionals are qualified under Regulatory Standard (“Norma Regulamentadora”) N^o 4 (NR 4). Its procedures define the requirements that must be complied with on a routine basis, and specific control measures for various risk scenarios.

To better assess the Occupational Health & Safety system, action plans are created that focus on opportunities for improvement, with hazards and risks identified in the Risk Management Plan.

Health and Safety results are analyzed in-house by the Health and Safety team and shared with area managers at monthly safety meetings, and with executive directors and other managers at Occupational Health and Safety meetings every two weeks. Indicators are presented and discussed at these meetings, as well as actions for continuous process improvement.

GRI 403-3 Occupational health services

The occupational health service works directly to identify, address, and monitor employee occupational health, associating quality of the workspace with health. It is responsible for ensuring well-being and disease prevention, and for avoiding other issues that might come up in the work environment.

The medical department is composed of an Occupational Physician, Occupational Nurse, and Nursing Technicians. They are part of the Specialized Occupational Health and Safety Engineering Services and Specialized Rural Occupational Health and Safety Service (SESMT/SESTR).

Bracell’s Occupational Health and Medical Control Program (PCMSO) performs periodic medical tests to help preserve employee health. These tests are based on the occupational hazards to which workers are exposed. If there is any anomaly in the results, the employee in question is removed from his/her functions and treated accordingly, then monitored until tests are normal again.

Employees and contractors have access to ambulatory care staffed by a nurse and physician. If necessary employees are referred for additional tests and monitored by a specialist.

GRI 403-4 Worker participation, consultation, and communication on occupational health and safety

GRI 403-5 Worker training in occupational health and safety

To ensure employees use appropriate and safe procedures when performing their tasks, we administer Occupational Health & Safety (OHS) training to provide them with the theoretical and practical knowledge required, minimizing the likelihood of workplace accidents occurring.

• All employees receive plain-language training;
• All new hires receive safety training during induction.
• In our São Paulo operations, Bracell provides first-aid training for the forest and mill operation teams, preparing them to respond to emergencies.

Duly qualified health employees (occupational doctor and nursing technicians) are the instructors. Training is offered during working hours free of charge, and includes a practical assessment at the end of the training to demonstrate the effectiveness of what was taught.

GRI 403-6 Promotion of worker health

Health management seeks to promote not only health but also well-being and working to prevent diseases. Employees are individually and collectively instructed on topics such as checkups, healthy nutrition, and the importance of regular exercise.

We also have annual health campaigns for awareness on diverse topics such as sexually transmitted infections, respiratory diseases, flu vaccines, dengue prevention, breast cancer (Pink October), and prostate cancer (Blue November).

Seeking to protect the physical and emotional well-being of its employees, the Company also organizes the Bracell Challenge, a program focused on quality of life that also encourages healthy eating and regular exercise.

Bracell offers medical and dental plans for employees and dependents, valid across the entire country. In addition, we have arrangements with pharmacy chains, opticians, fitness centers and educational institutions, as well as entities such as Serviço Social da Indústria (SESI) and others that offer sports and leisure activities to employees.

GRI 403-7 Prevention and mitigation of occupational health and safety impacts directly linked by business relationships

Bracell has commitments complying with Brazilian legislation and regulatory occupational health and safety standards. These are managed in monthly reports and their impacts are measured the following year.

The Company also has an Emergency Response Plan for incidents in our plants, which operate 24 hours a day around three shifts. We have the Strategic Occupational Safety Plan for  forestry operations.

GRI 403-8 Workers covered by an occupational health and safety management system

All contractors must abide by all labor laws and the Company’s internal occupational health and safety procedures. Contractors working in our forests and plants are managed using the CLM system, which in turn is managed by Bracell employees.

The METAX system, managed by META, is used to manage the Tissue project. This contractor is managed by Bracell Contractor Human Resources.

In addition to company employees, Bracell contractors in São Paulo are monitored by a specific third-party HR system to ensure compliance with applicable legislation and before the start of activities. Internal audits happen every six months and analyze compliance with health and safety standards. Read more about employees and contractors under GRI 2-7 and GRI 2-8).

In Bahia, to ensure compliance with applicable legislation to access and work in Bracell plants or forests, contractor mobilization is managed by Occupational Safety, and all contractors must fulfill the requirements of internal procedures, PR.SEG.005 Health and Safety Requirements. All contractors are included in this management standard. Management is focused on complying with legislation, collective bargaining agreements (CCTs) and collective labor agreements (ACTs), ensuring compliance with workers’ rights and their safety at work. Compliance is linked to service agreements and procedure PRH019-05.

Note: Bracell only began operating in Mato Grosso do Sul in 2022.

GRI 403-9 Work-related injuries

In 2022, Bahia had two lost-time injuries, one involving a Bracell employee and the other a contractor. There were no fatal injuries at any of the facilities.

To eliminate danger and minimize the risk of workplace accidents, we kept our Awareness Program to make everyone aware of the desired and safe behaviors, including operational awareness, with the support of leadership. Bracell’s goal is to strengthen personal integrity, reformulating Daily Safety Dialogs (DSD) so that leaders are protagonists in disseminating best practices. The company has a zero-injuries target. This is also a target and part of the Health and Safety Management System addressed in the Integrated Policy and in the Code of Conduct, with safety as a value.

Note: 2022 data considers 423,486.26 man hours worked. The disclosure scope regards to pulp transportation team.

Note: 2022 data considers 1,165,731.99 manhours worked. The disclosure scope regards to pulp transportation team.

GRI 403-10 Work-related ill health

In Bahia, no employees or contractors were placed on leave due to occupational illness in the period. Data is obtained by managing the legal and health action plans. No worker was excluded from this GRI content.

In São Paulo, four employees were put on leave due to occupational diseases in 2022, only one for a period longer than two weeks.

No contractors were placed on leave during the period. Data is obtained by managing the legal and health action plans. No worker was excluded from this GRI content. We implemented measures to minimize the risk of new cases of leave due to occupational illness, including well-being programs being developed in 2023.

Information on the main occupational diseases are not disclosed due to the Brazilian General Data Protection Regulation (BR GDPR) and medical confidentiality.

GRI 404-1 Average hours of training per year per employee

With the involvement of Bracell leadership, in 2022 we compiled the matrix of our employees’ expertise, which is connected to a skills matrix. This delivery is strategic because it connects technical careers to career paths for forest, industrial, pulp transportation and procurement operations.  The careers path will underpin the development of our employees whilst meeting our business and operational requirements.

The Bracell Learning Institute was also launched in 2022, to form an employee development network. The courses and training contain: strategic content, aligned with business and operational needs; technical and operational content such as workplace safety, legal compliance and audits; content to bolster Bracell’s values, policies and guidelines; RGE group training; content focused on leadership development and management; and content for the local community, qualifying professionals to work in our operations.

The new hub combines technology, innovation, and welcoming programs for employees. There are six training rooms, a technology laboratory, reading area, 196-seater auditorium, six meeting rooms, coworking area with a café, as well as a 72-person amphitheater.

GRI 404-2 Programs for upgrading employee skills and transition assistance programs

Bracell provides leadership training in both hard and soft skills to help build collaborative teams that are aligned with our culture. Some of our key initiatives have included:

• A newly structured education incentive policy;
• The newly created Bracell Learning Institute, to train key leadership personnel on hard and soft skills.

We compiled a matrix of our employees’ expertise, which is connected to a skills matrix. This delivery is strategic because it connects technical careers to career paths for forest, industrial, pulp transportation and procurement operations.

End of career management
Bracell offers a compensation plan for retiring employees based on the number of years with the company. For confidentiality reasons, the company does not disclose financial information.

GRI 404-3 Percentage of employees receiving regular performance and career development reviews

Bracell uses an individual performance review process to inform employee development efforts and investments and identify opportunities to improve performance. Employees are also assessed in terms of T.O.P.I.C.C. values (Complementary teams, Ownership; People; Integrity; Customers and Continuous improvement).

Bracell’s employees participate in the Performance Evaluation Cycle that considers two dimensions: behavioural and results.

Performance reviews consider each employee’s individual potential and performance in the year and provide inputs into their development plan for the next year, with practical advice addressing career development and business needs.

Bracell also has a People Management and Recognition Program used to monitor the professional development of its workforce, which includes profit sharing.

Note 1: In 2020, Bracell employees received, twice a year, performance and career development reviews through our People Review Program (PRP), in which they are assessed on three dimensions: behavioral, results and responsibilities.

Note 2: In 2021, 93% of the employees in São Paulo operations and 97.44% of the employees in Bracell’s operations in Bahia were evaluated regarding their performance and career development. Employees with less than three months of contract were not evaluated due to their recent hiring and, for this reason, the number of employees evaluated was less than 100%.

Note 3: Bracell only began operating in Mato Grosso do Sul in 2022.

Note 4: In 2020, 100% of the employees were evaluated in relation to their performance.

GRI 3-3 (405) Diversity, inclusion and equality

Bracell’s Sustainability Strategy primarily targets diversity and inclusion and is a part of the People and Culture pillar. The Company:

• is a signatory to the Women’s Empowerment Principles (WEPs) launched by the UN’s Global Compact and UN Women, whose guidelines provide advice on promoting gender equality and women’s empowerment at the workplace, in the job market and in communities;
• takes a zero-tolerance approach to harassment, bullying and violence and takes corporate responsibility for protecting human rights, as emphasized in our Code of Conduct and Sustainability Policy.
• has a Diversity program in place in Bahia and initiatives in São Paulo and Mato Grosso do Sul;
• runs social projects to foster business ventures that empower women, implemented in local communities in Bahia and São Paulo (see more in GRI 203-2).

The focus on closing the gender gap is addressed in regular meetings to increase the number of women in the company’s operational areas and leadership.

The pulp production and forestry sector in general still suffers from a shortage of female professionals qualified for specific activities, such as in the case of forest equipment operators. To address this, Bracell has created women-only operator courses and recruiting and selection processes designed for female audiences.

Diversity and inclusion goals

Bracell has pledged to increase the share of women in our forestry and mill operations in Bahia by 20% by 2025.

Between 2019 and 2022, in São Paulo, our efforts focused on completing the expansion of our site and commissioning our two new flexible lines at the mill in Lençóis Paulista (see more in GRI 2-6). Our primary goal was therefore quickly meeting our immediate demand for workers, and our targets to increase the proportion of women in the workforce are still in the process of being prepared.

In 2022, the Steering Committee approved new guidelines for the development of Bracell long-term socio-environmental goals that will cover diversity and inclusion (see more in GRI 2-9).

Diversity & Inclusion management time line

2003

• RGE group started out in Brazil with an industrial and forestry operation – the manufacturing of dissolving pulp and pulpwood in Bahia.

2010 to 2013

• The 2012-2013 Sustainability Report, the first prepared in accordance with GRI standards, initiated the monitoring and publication of the number of women in leadership positions and the number of employees by gender.
• In late 2016, Bracell updated its materiality matrix and consulted 420 people, including employees (accounting for over 75% of those consulted) and external stakeholders such as: representatives from the government; NGOs; trade associations and rural unions; employer and worker unions; pulp sector entities; growers participating in the Forestry Producer program; service providers; the press; and other stakeholders in the 21 municipalities the company was operating in the time.
• Compiled in 2016, the company’s first-ever materiality matrix contained the following material social topics: equal pay for women and men, and diversity, equal opportunities and nondiscrimination.

2020

• We became a signatory to the WEPS – Women’s Empowerment Principles, an initiative of the UN Global Compact and UN Women, which provides guidelines on the promotion of gender equality and the empowerment of women at work, in the market and in the community.
• An internal corporate diagnosis on Diversity and Inclusion was carried out and the results were presented to HR, Sustainability, Legal, Communication and Institutional Relations and Social Responsibility areas. From the discussions, we set up the Diversity Committee, with corporate action, responsible for disseminating and strengthening strategic issues of this agenda among employees and integrating them into the organizational culture. In the first year of operation, the agenda of the corporate Diversity Committee aimed to provide knowledge gain to broaden the critical vision of its members. The committee held meetings that addressed issues such as race and gender.
• The Company’s commitment to nurturing a plural workplace with racial equality received the Ethnic and Racial Diversity 2020-2021 seal of approval by the Municipal Reparations Office (Semur) in the Municipality of Salvador (BA). This certification has existed since 2007 and is given to organizations committed to strengthen diversity in the workplace.

2021

• An intense internal corporate communication campaign is carried out to raise awareness among employees and third parties on diversity and inclusion.
• The Diversidade em Ação (“Diversity in Action”) program is launched in Bahia and Bracell commits to the goal of increasing the representation of women in forestry and industrial operations by 20% by 2025.
• Bahia’s leadership is trained in aspects of diversity. The training was carried out with the support of external consultants.

2022

• Bracell holds the Troca de Saberes – Diversity Edition. The Company invited experts on topics such as unconscious bias and the importance of diversity and ethno-racial inclusion in organizations. The leadership of Bahia operations participated in training on diversity and inclusion, held in partnership with the Transcendemos consultancy. We created affinity groups to promote internal changes in organizational culture.
• In São Paulo operations, we started planning the Diversity and Inclusion program, in order to launch it in 2023.
• Our senior leadership approves the guidelines for the development of Bracell long-term socio-environmental goals which has Diversity and Inclusion as one of its focuses.
• In Bahia, the PwD (people with disabilities) Focal Group was set up: meetings were held with all PwD employees in the forestry and mill operations to discuss opportunities for inclusion, based on issues related to accessibility, development, among others.
• Affinity groups are created: the aim is to develop actions together to drive internal changes in culture.
• Diversity Day is celebrated. In addition, actions are taken to foster diversity and inclusion to provide a healthy work environment and encourage the exchange of experiences among people of different profiles.
• Topics related to diversity and inclusion are addressed during routine meeting to ensure measures to increase diversity in operations and management. For example, specific training groups are created to take advantage of scale and add to the Bracell structure.
• The senior leadership approved guidelines for developing the Bracell long-term socio-environmental goals with one of its priorities being diversity.
• Our commitment to promoting a plural and racially equal environment is awarded the Ethical-Racial Diversity Seal 2021-2022, granted by Salvador City Hall, through the Municipal Secretariat for Reparations (Semur). The certification, which has existed since 2007, is granted to organizations committed to strengthening diversity in the workplace.

Click here for the 2019, 2020, and 2021 Sustainability Reports.

GRI 405-2 Ratio of basic salary and remuneration of women to men

At Bracell, employee salaries reflect roles and tasks, without any gender-based discrimination. For confidentiality reasons the Company does not disclose employee salaries or salary ratios.

GRI 406-1 Incidents of discrimination and corrective actions taken

The Company registered no cases of discrimination in 2022.

GRI 3-3 Human Rights in the value chain

Bracell also has control mechanisms in place to mitigate the risk of child, forced or compulsory labor in our value chain whilst assuring compliance with Human Rights, the Rights of Children and Adolescents and Labor Rights. These topics are part of the Company’s Sustainability Policy.

Bracell:

• respects and includes the Universal Declaration of Human Rights across the entire value chain.
• as a signatory to the United Nations’ Global Compact, annually reports on the progress made in our management practices and results related to the 10 Universal Principles of the Global Compact. Bracell’s COP (Communication on Progress) can be viewed here.
• manages and oversees suppliers regarding social aspects, with procedures to analyze compliance with labor laws and regulatory standards, human rights, and the rights of children and adolescents.

Bracell recognizes that diversity is an important facet of people management. As part of this, we have engaged in initiatives to help build a healthy, egalitarian and diverse workplace environment, where all employees have equal opportunity and can share experience across different professional profiles.

GRI 405-1 Diversity of governance bodies and employees

Bracell high governance body is composed of senior leadership (Director, General Manager and Senior Managers) responsible for operational decision making. In 2022, there were no members under 30 years old as part of Bracell governance body. The company had 18 members between 30 to 50 years old and 18 members over 50 years old. 100% of the governance body members are executive members and Bracell has no independent members on the company governance body.

It is also part of Bracell high governance the Steering Committee, composed of the Company’s senior leadership, whose responsibility is focused on business and operations decision making, besides socio-environmental performance analysis. The SC also assess potential investments. It is part of the governance body 5 men and 1 woman, with a representation ratio of 83.4% men to 16.6% women, in 2022. Learn more in GRI Content 2-9, in Governance.

Bracell has started operation in the state of Mato Grosso do Sul in 2022.

Note: Bracell employees data for 2020 and 2021 were updated. We have identified a redundancy on employees counting regarding to Bracell leadership. The redundancy has occurred due to Bracell employees classification which differs from GRI protocol employees classification scope.